News

(NEW YORK) – September 14, 2016 – Rosenthal Trade Capital (RTC), a new division of Rosenthal & Rosenthal, Inc., today announced its latest purchase order finance deal with a global distributor and supplier of electronic, computer and aviation parts, components and hardware.

As part of the transaction, RTC will provide a $1.5 million purchase order finance facility to assist with the immediate purchase of goods against several large existing sales orders. By leveraging this new financing resource, the client can now pursue a larger incremental sales volume with prospective customers that they previously may have passed on due to lack of liquidity.

RTC will fund two different transaction types for this client: (1) off-the-shelf domestic component purchases with quick-turning transactions and (2) longer term (import production component) purchases. RTC’s extensive international trade expertise will provide letters of credit and cash against documents funding to purchase inventory that is presold to major Fortune 500 end-customers.

The client was referred to Rosenthal by the company’s existing asset based lender. The lender was looking to have a purchase order finance facility in place so the client would be better positioned in the marketplace to take advantage of the projected upswing in U.S. defense spending.

Rosenthal & Rosenthal (www.rosenthalinc.com) is the leading factoring, asset based lending and purchase order financing firm in the United States. Founded in 1938 by Imre J. Rosenthal, the firm is now led by the second and third generations of the Rosenthal family. As a privately held company, Rosenthal is committed to providing personalized service and flexible lending to clients across a broad range of industries.

Rosenthal & Rosenthal, Inc., a leading private commercial finance company specializing in factoring and asset based lending, today announced the launch of Rosenthal Trade Capital, a new division that provides alternative inventory financing solutions to cash-constrained companies. The new group will be led by finance veteran Paul D. Schuldiner and will add a suite of new offerings to complement the 78-year-old firm’s already robust factoring and asset based lending business divisions.

Rosenthal Trade Capital will serve importers, exporters, wholesalers, assemblers and light manufacturers that face complex challenges ranging from seasonality and rapid growth to undercapitalization and turnaround situations. Through the new division and product offerings, clients will have access to a broad spectrum of alternative inventory financing solutions, including:

·Purchase order financing for international and domestic presold inventory purchases

·Production financing for light manufacturing and assembly businesses

·Government contract financing

A seasoned financial executive, Schuldiner joins Rosenthal as Senior Vice President of Rosenthal Trade Capital, bringing nearly 20 years of experience in the purchase order and trade finance business. In his new role, Schuldiner will be responsible for driving the overall business strategy for Rosenthal Trade Capital. Also joining Schuldiner from Wells Fargo Capital Finance is Jennifer Draffkorn, who will be responsible for portfolio management and underwriting at Rosenthal Trade Capital. Their appointments are effective as of July 1, 2016.

“We are thrilled to launch our newest division, Rosenthal Trade Capital so that we can continue to provide the kinds of services and financing products that fit our clients’ individual, and often complex needs,” said Peter Rosenthal, President of Rosenthal. “Under Paul’s leadership, I’m confident Rosenthal Trade Capital will become another substantial platform for growth for our firm and my family’s legacy.”

As a partner and Managing Director of Business Development at King Trade Capital, Schuldiner was responsible for providing purchase order and contract finance for small to middle-market companies. He previously held a senior leadership role in the Purchase Order Finance Group of Wells Fargo Capital Finance and was a principal at Transcap Associates for 11 years before Wells Fargo acquired it in 2008.

“It’s a privilege to join the Rosenthal team and I’m looking forward to bringing my industry expertise to help drive growth at a company with such a rich legacy and strong reputation for excellence and quality,” said Schuldiner.

On Monday, June 27th Rosenthal was pleased to be honored at the Fourth Annual Sephardic Bikur Holim golf event with The Partners in Kindness Award. Accepting the award on behalf of the Rosenthal Family was Peter Rosenthal, Cassie Rosenthal, Eric Bader, and Chris Sanjenis. We were overwhelmed by the support shown that day and want to express our gratitude to all in attendance and those who donated.

Sephardic Bikur Holim is a non profit mental health and social service agency dedicated to caring for people in need with compassion, discretion, and respect. They provide for health sustenance, support, and well-being of children and adults, the infirm and the disadvantaged through an ever-expanding spectrum of services, programs and resources. At Sephardic Bikur Holim, their goal is to invest in families and individuals with strength and self-esteem so that they can rise with dignity to their utmost potential.

If you're like most entrepreneurs and small business owners in the gift and home industry, you likely wear a lot of hats. Perhaps you're pulling double duty designing new product lines while worrying about whether your accounting is in order. Or maybe you’re managing your company’s vendor relationships and simultaneously working to streamline your manufacturing process. As your business continues to thrive, it’s becoming more and more apparent that you can’t do it all, at least not on your own....

Rosenthal & Rosenthal, Inc. announced that with the assistance of KCP Advisory Group, LLC it has completed new financing to Browne Trading Company, Inc. the premier supplier of fresh fish, fine caviar, shellfish, and smoked seafood to elite, Michelin star rated restaurants and home kitchens across the US. The revolving line of credit is comprised of advances against the company's receivables and inventory.

In addition to refinancing previous lenders, the proceeds will be used to support working capital requirements. Jacen Dinoff of KCP Advisory Group indicated that "Rosenthal & Rosenthal was determined to be the right financial partner for Browne Trading Company due to their creative financing and flexibility to support the company through their restructuring".

"We are pleased to have Rosenthal & Rosenthal as our lending partner as we continue to restructure our operations. The team at Rosenthal showed amazing interest in our story and moved quickly to structure a facility that will allow us to capitalize the company's position for significant growth" said Rod Mitchell, president of Browne Trading Company.

Rosenthal & Rosenthal, Inc. is a leading factoring and asset based lending firm in the United States. Founded in 1938 by Imre J. Rosenthal, the firm is now led by the second and third generations of the Rosenthal family. As a privately held company, Rosenthal is committed to providing personalized service and flexible lending to clients across a broad range of industries, including manufacturing, apparel, food & beverage, technology, jewelry, accessories, real estate and art lending.

KCP Advisory Group is a leading business advisory firm built on the success of seniorprofessionals who specialize in providing creative solutions and aiding clients in rehabilitating their businesses. KCP renders services spanning a range of advisory roles from consulting to interim leadership.

3 ways to reshape your business in 2016

By Rosenthal

Long-Time Finance Executive Harry Friedman Retires After 40+ Years in Factoring and Asset-Based Lending Business

(LOS ANGELES) – January 5, 2016 – Rosenthal & Rosenthal, Inc., a leading private commercial finance company specializing in factoring and asset based lending, today announced the appointments of Sydnee Breuer as Executive Vice President and Western Region Manager and Jeffrey Enoch as Executive Vice President and Western Region Portfolio Manager. The appointments are effective January 4, 2016.

Breuer and Enoch are both seasoned commercial lenders and instrumental in the success of the 78-year-old family-owned firm’s multi-billion dollar factoring business. They succeed current Executive Vice President Harry Friedman, who announced his plans to retire this year after more than 12 years at Rosenthal and more than 40 years in commercial finance.

“Sydnee and Jeff’s reputations in the industry are unparalleled. Under their leadership, I am confident Rosenthal will continue to expand its already substantial footprint in the West Coast commercial finance market,” said Kenneth Kleiner, Executive Vice President and Chief Marketing Officer for Rosenthal. “We are grateful to Harry for giving Rosenthal every ounce of his expertise and energy over the last 12 years. He has been integral in hiring top-notch talent and developing hundreds of client relationships, all of which have contributed to the firm’s aggressive growth over the past decade.”

At Rosenthal, Breuer oversees new business for the West Coast and develops relationships with middle market companies. Before joining Rosenthal in 2009, Breuer, a 25-year veteran in the Los Angeles commercial finance industry, served in a wide range of senior-level factoring positions at CIT, spanning business development, account management, underwriting and credit. Breuer has an MBA from Pepperdine University and a BA in Economics from Rutgers University.

“I am eager to take on this new challenge to continue to expand Rosenthal’s reach in the West Coast region,” said Breuer. “We’ve been fortunate to have experienced solid growth during my tenure at Rosenthal, and I look forward to cultivating new relationships across new markets and industries in 2016.”

Enoch leads the portfolio side of Rosenthal’s West Coast business, developing and managing client relationships. A 35-year veteran in the business, he joined Rosenthal in 2004 from GE Capital and has held previous senior roles at NationsBank and CIT. Enoch holds a degree in Finance from Baruch College.

“Rosenthal’s legacy in the industry is really a testament to our clients,” said Enoch. “I look forward to continuing the long tradition of providing clients with the personalized service, flexibility in lending and expertise that they have come to expect from Rosenthal.”

ABOUT ROSENTHAL & ROSENTHAL

Rosenthal & Rosenthal (www.rosenthalinc.com) is the leading factoring and asset based lending firm in the United States. Founded in 1938 by Imre J. Rosenthal, the firm is now led by the second and third generations of the Rosenthal family. As a privately held company, Rosenthal is committed to providing personalized service and flexible lending to clients across a broad range of industries, including manufacturing, apparel, food & beverage, technology, jewelry, accessories, real estate and art lending.

October 1, 2015

Rosenthal Supports American Cancer Society Making Strides Against Breast Cancer

After many years of supporting the American Cancer Society, specifically Making Strides Against Breast Cancer, we are proud to honor this organization by displaying our partnership in our ground floor windows on 37th and Broadway. If you don't have the opportunity to pass by our office, check out the graphics below!

We cannot wait to participate in the walk on October 18th and hope you join us!

Privately Owned and Ready to Grow: Miller’s ABL Journey Takes Him Back to Rosenthal & Rosenthal

Industry Focus Finance: How Will Mergers in the Factoring Business Affect Clothing Manufacturers?

By Deborah Belgum - Thursday, July 30, 2015

Sydnee Breuer, Executive Vice President, Rosenthal & Rosenthal

With the recent mergers and acquisitions between banks and factors, how do you expect this to affect the factoring business? Will it make it more difficult or more expensive for manufacturers to get factored?

When a bank owns a factor, bank regulation can dictate what deals can get approved or not. Decisions are not necessarily based on the collateral or the people, which are two very important criteria for factoring and lending money.

As an independent factoring and finance company, Rosenthal & Rosenthal looks at the totality of the deal—not just the balance sheet and not just the profit and loss. We also take into account the story behind the deal, the people behind the deal and the performance of the collateral.

Over many years, banks have owned factors and banks have sold factors. For any individual deal, it may become more expensive or more difficult as that manufacturer needs to find replacement financing/factoring should the bank-owned factor want to exit the relationship—or not be able to increase the support as the business needs change.

However, Rosenthal has seen a large increase in our factoring business over the years, being able to provide the factoring and financing when the bank-owned factors are unable or unwilling to.

An Apprehensive Look At The U.S. Retail Sector Performance For 2014

Gift & Decorative Accessories Magazine

July 2014 issue

Deco Breeze tells GDA how Rosenthal & Rosenthal has become an invaluable financial partner. Learn how their factoring services have helped their friends at Deco Breeze concentrate on what matters in their business.

GDA: Historically your industry has had minimal dealings with traditional factors. How did you get acquainted with factoring?

Punit: My background was in the apparel industry where everybody uses a factor. When we started we knew we needed a factor behind us to drive our growth.

GDA: How does a factor augment your growth?

Jeff: Speaking from the sales side, we use Rosenthal to make sure our customers are credit worthy and our collection efforts are professionally managed. Generating sales in today’s economy is tough enough and you don’t want a bad debt to ruin an otherwise strong year. They have more manpower and resources to investigate the customers. Typically our customers may be reluctant to share information with us that they will share freely with them.

Punit: When they approve a customer’s credit they guaranty the fi nancial ability of the customer. If the customer doesn’t pay the factor takes the bad debt. You can sleep at night if you have credit approval.

GDA: But not all customers are approved.

Jeff: Some customers are only partially approved and some are declined completely .But we can make our own decisions as whether to ship them or not, and the receivables remain eligible for borrowing purposes.

Phil: As important, we call them for advice on a new customer-you don’t want to go through the time and expense of servicing a new customer to fi nd out they’re not creditworthy. The advice is invaluable.

Jeff: The customer can build its credit with the factor and have more purchasing power with us and other suppliers. We’d like to see more companies in our industry use a factor. The more dealings the factor has with our customers the more we would all benefi t.

Punit: Furthermore, the factor can play the role of the bad guy. They turn down the customer, not us. The factor becomes a buffer between us and our customer when payments come due and I can rest more easily knowing I’m not pitching a sale simultaneously while calling for money.

GDA: In addition the factor handles your cash application processes. Don’t you feel like you lose control over your customers if the factor has all the contact?

Punit: We have control where we want it, on the sales side. They relieve us of the functions that we as entrepreneurs don’t want to handle. We use their personnel who are more experienced and knowledgeable than anybody we could ever hire. All of the fi xed costs become variable costs that reduce as you grow.

GDA: Some companies only use the services described but you use factoring for financing as well.

Punit: We borrow against our receivables and inventory with specifi c formulas for each and have the ability to exceed those formulas for seasonal needs.

GDA: They helped you make an acquisition. How?

Punit: We were buying a company of similar size that would enable us to double our sales and diversify. They financed the purchased assets and provided additional funding to get us through the initial period when we had to restore a damaged supplier base. They understood the benefi ts of the deal and gave us a quick approval.

GDA: Couldn’t you do this with a traditional lender?

Punit: No way! They are privately owned and the decision process is fl exible and fast. In our business whether we are making an acquisition or seeing a surge in business, we have to react quickly. A bank moves too slowly.

Phil: They touch our business daily through receivable management. They know how strong our customers are and how our accounts perform. They’re living our business and are more comfortable taking a risk. They understand seasonality, which many businesses in our industry battle with. Many lenders are uncomfortable stretching formulas during your busy season. Rosenthal works with you not against you.

GDA: Aren’t the costs prohibitive?

Punit: That’s a gross misconception in our industry. Many of the factors are expensive. But Rosenthal plays in a different market, competing in New York against major players in the middle market arena.

Jeff: The rate for the outsourced services are more than offset by savings on our side and we get credit coverage as well. At worst it’s a wash and we’re probably well ahead when added up.

Punit: Interest rates for borrowing are competitive with banks without all the fringe costs like audit fees, facility fees, and unused line fees. Getting delayed in a bank approval process can cost you signifi cantly in lost sales or supply side costs due to cash fl ow strains while you wait for approvals.

GDA: One last question –why Rosenthal and Rosenthal?

Punit: Rosenthal is 75 years in business and family owned throughout. They know the market inside out and deal with numerous clients who share our same concerns. They anticipate the rough patches often before we do and their insights are invaluable. They are a great partner to have.